Government explains why MoMo tariffs will be difficult to remove

• The value of mobile money transaction keep surging

• Government hints of the possibility of taxing aspects of mobile money

• Mobile money has improved the efficiency of money transactions

Dr. Gideon Boako, a spokesperson for the vice president Dr. Mahamudu Bawumia has said it will be difficult for government to review tariffs on mobile money transactions.

Stakeholders and mobile money operators have kicked against a possible introduction of some tariffs on mobile money transactions.

Reacting to the calls in an interview with Accra-based JoyFM, Dr. Gideon Boako explained the tariffs on mobile money facilitate the operation of telco companies hence removing them may prove futile.

“It is a commercial activity and there should be a charge for the person providing the platform to be able to function. What we need to understand is that these things are done outside the circles of government and so it’s a private enterprise. Someone is providing the service and you need that service and the platform provided for you to be able to transfer money through Momo and so we cannot say there shouldn’t be any charges at all,” Boako is quoted by Joy Business.

“We can talk about the quantum of the charge but if we don’t pay the charge, remember the Telcos will also not be able to provide that platform for you. So, if the charge is high we can have a conversation but we cannot think of not having a charge for making such transactions,” he added.

Between June 2020 and June 2021, active mobile money accounts have risen from 15.5 million to 18.3 million,

On the total value of transactions, active mobile money account rose from 45.3 billion to 89 billion within the same period.

As a result of this, Minister for Communications and Digitalisation, Ursula Owusu-Ekuful earlier this year hinted at the possibility of taxing aspects of mobile money in order to rake in more governments revenue.